At a glance.
- Parsons Corporation will buy Braxton Science & Technology Group.
- Eagle Eye Networks Raises $40 million in Series E round.
- Blackbaud believes cyber insurance will cover most expenses from data breach.
Mergers and acquisitions.
Switzerland-based digital identity company WISeKey has signed a non-binding term sheet to acquire German AI firm arago. WISeKey stated, "arago has a large recurring customer base and licensing model, which is expected to bring significant synergies to WISeKey and strengthen WISeKey’s position in the fast growing AIoT market." The company further explained, "On the basis of a tentative relative CHF 100 million valuation of arago, it is the intention to combine the respective businesses of arago and WISeKey in two steps, (1) initially by way of a subscription of newly issued shares of ARAGO by WISeKey, resulting in a majority holding of WISeKey in arago and the provision of funding by WISeKey to ARAGO and (2) subsequently, subject to certain conditions, through a sale of all minority shares held directly or indirectly by the arago shareholders continuing after the first step against shares or ADRs (Level III) of WISeKey."
Parsons Corporation is buying Colorado Springs-headquartered space technology provider Braxton Science & Technology Group from the O'Neil Group Company for $300 million. O'Neil Group's owner and CEO stated, "This was one of our better exits considering that the original investors realized a 9-times return on their investment." Parsons said in its press release that the acquisition positions it "to capitalize on the quickly evolving space missions of its national security space customers and address rapid market growth driven by proliferated low earth orbit constellations, small satellite expansion, and space cyber resiliency."
Virginia-based information and risk analytics company Neustar is acquiring Verisign's recursive Public DNS service. The company stated, "Under the terms of the acquisition, the address space for Verisign Public DNS, such as the widely used 126.96.36.199 will be transferred to Neustar and incorporated into its robust recursive UltraDNS Public service." Neustar's President of Security Solutions Brian McCann said, "The addition of Verisign Public DNS to the Neustar family will utilize our recently upgraded DNS network infrastructure with extra capacity for trillions of queries per day and enhance our visibility into potential threats at the DNS layer, further increasing our ability to deliver world-class security services that our customers depend upon."
Reuters reports that Brazilian telecom company Telefonica Brasil has sold its cybersecurity company Telefônica Cibersegurança e Tecnologia do Brasil (CyberCo Brasil) to Telefónica Cybersecurity Tech for $20.27 million (R$116.4 million).
Investments and exits.
Texas-based cloud video surveillance company Eagle Eye Networks has raised $40 million in a Series E round led by Accel. Crunchbase News says the company will use the funding to add between 100 and 125 employees over the next year, and "to expand sales and marketing and invest in AI, particularly for new projects such as license plate recognition and elevated temperature screening."
San Francisco-based asset discovery startup Lucidum has raised $4 million in a seed round led by GGV Capital and Silicon Valley CISO Investments, Crunchbase News reports. The company was founded by Joel Fulton, Splunk's former CISO, and Charles Feng, Splunk's former head of security innovations and data science. Fulton told Crunchbase that they'll use the funding to "invest in engineering and product," as well as doubling its number of employees from twelve to twenty-four over the course of the next year.
Adobe has appointed Mark Adams as Chief Security Officer, SecurityWeek reports. Adams most recently served as CSO at Blizzard Entertainment. Adobe's former CSO, Brad Arkin, has joined Cisco as Chief Security and Trust Officer.
Companies in the news.
GovInfoSecurity reports that Blackbaud believes its insurance will cover much of the losses incurred by the data breach the company sustained earlier this year. Blackbaud's president and CEO Michael Gianoni said in an earnings call last week, "As can be expected, the security incident resulted in a number of legal claims and regulatory inquiries. We carry insurance policies that we believe will provide coverage for a significant portion of current and expected future losses and expenses related to the security incident, although this is inherently difficult to predict." The company's CFO Anthony Boor added, "At this point, again we believe insurance is going to cover the majority of it, other than our internal resources and time."
Blackbaud is a cloud provider that primarily serves charities, non-profits, and educational institutions. The company thwarted a ransomware attack in May 2020, but the attackers were able to exfiltrate data belonging to hundreds of Blackbaud's customers. GovInfoSecurity, citing the US Department of Health and Homeland Security's HIPAA breach portal, notes that the Blackbaud breach has impacted around ten million individuals in the healthcare sector alone.
Where business is done.
Policy, law, agency equities.
Nothing much going on here, except that election thing we think we've heard about. Here are some notes on what we've been hearing from CISA.